AMN - MALI: IAMGOLD acquires Merrex

IAMGOLD Corp has signed a definitive agreement with Merrex Goldto acquire, in an all-share transaction, all of the issued and outstanding shares of Merrex not already owned by IAMGOLD. Merrex is a junior mineral exploration company of which IAMGOLD currently owns 23% of the issued and outstanding common shares.

IAMGOLD president and CEO Steve Letwin says: "This agreement consolidates the ownership of a key asset in IAMGOLD's exploration pipeline. The IAMGOLD exploration team, led by Craig MacDougall, working in concert with Merrex on the Diakha-Siribaya project in Mali has done an outstanding job over recent years to define indicated resources of 2.1 million tonnes grading 1.90 grams/tonne gold and inferred resources of 19.8 million tonnes grading 1.71 grams/tonne gold. Mali is a prolific mining friendly jurisdiction and is where IAMGOLD began nearly 25 years ago at the Sadiola project which, along with its neighbouring Yatela mine, has already produced over 7.5 Moz of gold."

Merrex's primary assets are its gold properties in West Mali, principally its 50% interest in the Siribaya gold project, its 100% held Karita exploration authorization in Guinea and its 100% held zinc-lead property in Nova Scotia (the Jubilee project).

Merrex holds permits totalling some 700sqkm within an approximately 4100sqkm area of interest in the southern portion of the West Mali Gold Belt.

IAMGOLD is a mid-tier mining company with four operating gold mines on three continents. A solid base of strategic assets in North and South America and West Africa is complemented by development and exploration projects and continued assessment of accretive acquisition opportunities. IAMGOLD is in a strong financial position with extensive management and operational expertise.

http://www.iamgold.com

News courtesy of International Mining